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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Original poster

..to think childcare provider's payment terms are completely ridiculous?

85 replies

SafferUpNorth · 07/08/2018 22:48

Having found an afterschool club place for my DS, I must admit I didn't scrutinise the payment terms too carefully. Now I've been slapped with a 10% late payment fee twice in a row the last two months and am flatly refusing to pay it - AIBU? Here's the deal:

Their invoice for a particular month is usually issued midway through the previous month, and due on the first. So payment terms two weeks, not the usual 30 days. And if you don't pay by the first, you're charged a 10% late payment fee within a few days... even if the service (ie afterschool club service) has not even been provided yet!

So, this evening I've had an updated invoice for August care. Invoice was issued on 18 July and was due on 1 Aug. Now a late fee has been added even though the first session of the month will only be delivered on 16 Aug.

And on 16 June, I was sent an invoice (due on 1 July) for holiday club places on 31 July and 1 August. So the invoice was due two weeks before the service was delivered. By 9 July I had been issued a revised invoice with the 10% late fee added... even though the actual service delivery was still 3 weeks away!

AIBU to refuse paying the late fees?? What are my consumer rights here?

OP posts:
arethereanyleftatall · 07/08/2018 23:14

Yabu.
Paying in advance is standard.
In fact I'm struggling to think of anything which you pay for after you've received the service or goods.

garethsouthgatesmrs · 07/08/2018 23:14

why do you keep forgetting to pay?

arethereanyleftatall · 07/08/2018 23:15

Oh, I've just thought of one thing. Beauty treatments and hair cuts. But that's it!

arethereanyleftatall · 07/08/2018 23:16

I run a business (swim school) and always get people to pay at least two weeks in advance. Reason being, selfish people will leave it to the last possible second to pull out otherwise.

tillytrotter1 · 07/08/2018 23:16

So you didn't bother to read the t's and c's properly and now it's everyone else's fault but yours?

KeepServingTheDrinks · 07/08/2018 23:16

You have two choices..

  1. Abide by their ts&cs
Or 2.find alternative childcare

Take your choice

Lonecatwithkitten · 07/08/2018 23:17

There is no 'usual 30 days' every business can set it's own terms.

Childcare has always been in advance by the first of that month, right when I first started to look for child care 15 years ago this was the terms and conditions.

mumsastudent · 07/08/2018 23:19

I would be very careful op - they could take the case to small claims & you could find bailiffs on your door step - you signed the contract you have to abide by it legally or face the consequences - its the way things are. Other people have said why this is the case

BackforGood · 07/08/2018 23:20

I've always paid wrap around care, for the month, at the start of the month. 2 pages of responses seem to indicate this is pretty standard. The difference is, I was not helped by an invoice - I just counted the number of days they would be providing. You seem to have been relieved of that task, and still can't pay on time.
Of course it is reasonable for them to charge a 'fine' if you don't pay when it is due.

Namechangeforthiscancershit · 07/08/2018 23:21

Usual 30 days is not a thing. Each business decides for itself.

I can’t think of a single reason why childcare providers would want to charge after providing the service. They have loads of upfront costs.

I also really doubt that they have enough staff to be arsing around chasing up their unpaid invoices, so charging a late fee seems very sensible.

cookiesandchocolate · 07/08/2018 23:23

I have to pay nursery fees by the 9th of each month before my child has attended. That's how it's always been. If I'm late, I expect to be charged. But they never do charge if I am a couple of days late.

You pay for the service before you've had it, otherwise people could not show up when it's been booked and then expect not to pay. Sorry but yabu not to pay the late fees. It's stated in their terms

Boysnme · 07/08/2018 23:23

Our school holiday club charges in arrears. I find this very odd. Any other childcare provider we have used is in advance.

OlennasWimple · 07/08/2018 23:29

Is the period in the bill 1st of month to 31st of month with the invoice issued on 16th of month with payment due on 1st of month (ie the day that the new period starts)?

If so, this is completely standard IME

(I'm only asking because it seemed from one of your posts that the invoice was a mixture of sessions already received plus some in the advance, which I agree is unusual and potentially confusing)

rainingcatsanddog · 07/08/2018 23:39

Paying in advance makes business sense.

  1. Stops people trying to not pay their last bill.
  1. Chasing people for money costs time and money. Pre-payment means this isn't a problem.
  1. Stops people not showing up and using the space. A no-show means no revenue for the service provider.
  1. If it was pay afterwards, I'd imagine some separated couples to play silly buggers and try and get the care provider to bill the other parent. Again, chasing money costs time and money.

Getting a late payment once is accidental but you could have prevented that second charge imo.

rainingcatsanddog · 07/08/2018 23:40

@arethereanyleftatall Tradespeople like electricians and plumbers if it's a small day job.

MyDcAreMarvel · 07/08/2018 23:45

I pay Nursery in advance but weekly on the Friday for the following week. So only two days in advance. They charge 10% late fee.

MyDcAreMarvel · 07/08/2018 23:46

Sorry three days in advance.

bellsbuss · 08/08/2018 00:00

I thought that was standard practice

footballmum · 08/08/2018 06:18

So because you don’t like their payment terms you think you shouldn’t have to abide by them and it’s unfair that you’re being penalised?! That’s not really how life works is it?!

RocknRolla · 08/08/2018 07:05

That’s normal op all childcare I have used have been the same payment setup. I would pay as soon as possible if I was you because if you have signed a contract you could be taken to a small claims court especially if you have signed a contract agreeing to there t&c.

Raven88 · 08/08/2018 07:10

The terms sound pretty straight forward and not reading them is on you. Paying in advance sounds reasonable because they don't want to be chasing payment after it's been delivered.

Fatted · 08/08/2018 07:14

Every childminder and nursery I've had dealings with have charged in advance. Unfortunately, they've all likely learned the hard way that they're are lots of parents who don't consider it a priority to pay for their child's care. Or who try to get out of paying.

If you don't like the terms, take your children elsewhere!

HelpmeobiMN · 08/08/2018 07:41

If it's in their Ts&Cs and you had those before you signed the contract then you've accepted them and that's that - you're bound by them. Maybe set a reminder in your phone to stop you forgetting to pay?

Munchyseeds · 08/08/2018 07:42

Cant see the problem....pay what you owe then ensure you pay by the 1st of the month.

Jeezoh · 08/08/2018 07:46

Perhaps they make people pay in advance because of people like YOU who are unable to pay on time and quibble about the contract they’ve signed up to!